Share prices in commodity kings with iron ore interests – BHP Billiton Limited (ASX: BHP) and Rio Tinto Limited Fully Paid Ord. Shrs (ASX: RIO) – are on the up today after the benchmark price for iron ore surged yesterday.
Technically, iron ore has entered a bull market, with the benchmark price sitting at its highest level since March, so is this a license to print money for the likes of BHP, RIO, Fortescue Metals Group Limited (ASX: FMG) and even small cap player Mount Gibson Iron Ore Limited (ASX: MGX)?
While the price surge could be behind the modest lift in the BHP and RIO share prices, both companies have their fingers in many more pies than just iron ore, so fresh highs don't exactly mean anything overwhelming for companies of this size.
But the smaller fry Fortescue's share price is up 4.5% to $3.80 today, with yesterday's release of a favourable quarterly report also giving the stock a boost, while the Mount Gibson share price sits up 3% to 50c per share – hovering near 52-week highs for the $547 million market cap company.
